OSI completes Cell Pathways acquisition
OSI Pharmaceuticals has completed the acquisition of Cell Pathways in a stock-for-stock merger valued at approximately $31m.
OSI Pharmaceuticals has completed the acquisition of Cell Pathways in a stock-for-stock merger valued at approximately $31m.
OSI has provided additional consideration in the form of a five-year contingent value right in the event of a filing of an NDA for either of the two newly-acquired clinical candidates, CP461 or Aptosyn (exisulind).
Through this transaction, OSI has added a technology platform designed to selectively induce apoptosis, or programmed cell death through the sustained activation of protein kinase G in pre-cancerous and cancerous cells. OSI gained two drug candidates in clinical development: CP461, a potent, second-generation molecule that is currently being evaluated in dose-ranging Phase I studies and a series of exploratory Phase II studies in chronic lymphocytic leukemia, renal cell carcinoma and prostate cancer and Aptosyn, an earlier-generation molecule that is cur-rently in Phase III trials in combination with Taxotere for the treatment of advanced non-small cell lung cancer. The acquisition of Cell Pathways also provides OSI with an additional oncology product, Gelclair, a bio-adherent oral gel that provides relief for the treatment of pain associated with oral mucositis, a debilitating side effect often seen in cancer patients under-going radiation treatment or chemotherapy.
OSI is establishing a commercial operation to support Gelclair and Novantrone (mitoxantrone concentrate for injection), which the Company markets exclusively for its approved oncology indications in the US.
'The Cell Pathways apoptosis technology platform complements our existing r&d approaches in this area and provides the opportunity to advance the development of novel anti-cancer drugs which we believe may have value both as monotherapy agents and in combination with existing chemotherapy drugs or other novel, targeted agents,' said Dr Colin Goddard, ceo of OSI. 'In addition, this transaction gives us our second marketed product in Gelclair, which addresses a major unmet need in cancer treatment today, that of oral mucositis. We are on schedule to re-launch both Gelclair and the recently licensed Novantrone under the OSI brand later this year.'
OSI has also entered into an agreement with Celgene Corporation by which OSI will recover full rights to market and promote Gelclair in North America. Previously, it was marketed to oncologists for their cancer patients under a co-promotion agreement between Celgene and Cell Pathways.